Many people have dreamed of owning a
business, each for different reasons. Some
have grown tired of working for others and
now desire to be their own boss. Others want
financial independence and believe that
owning a business is the best way to achieve
this goal.
The thought of starting a business can be
very exciting. If it’s something you’ve always
wanted to do, then it’s a wonderful chance to
realize your dreams. Yet, it can also be
frightening. With so much to do, it can seem
overwhelming. Proper planning can eliminate
some of the fear involved in starting a
business, so before you spend a substantial
amount of time, money, and energy, take a
minute to evaluate, analyze and develop your
business plan.
Evaluate your Idea
Every new business begins with an idea.
Someone either noticed that there was a need
for a new product or service or they believed
that they could improve something that
already existed. Many of us can think of
enhancements that have been made to our live
as a result of new and improved products and
services. If you have a great idea for a
particular market or industry, then follow up
with research to determine its viability and
profitability.
All of the market information
you need can be gathered online, at your local
library, or through a state or federal agency.
By evaluating first, you can determine upfront
if this idea has the potential to be a successful
business opportunity for you.
Analyze your Commitment
After evaluating your idea, consider why
it is that you really want to own a business.
Are you in it for the money or do you really
have a passion for what you’re trying to do?
Business startup takes a lot of time, money,
and energy, so it’s important to enjoy what
you’re doing and to be good at it. Otherwise,
it’s sure to feel just like any other job and not
like the wonderful opportunity you expected
it to be.
Consider speaking with others who
are already in the business you are trying to
enter. They may be able to give you a realistic
view of just how much is involved in the
business, which can help you determine if it
is the right move for you.
Develop a Business Plan
Once you’ve done some research and a
personal analysis, you’re ready to prepare a
business plan.
A business plan enables you
to successfully manage your business. It also
shows lenders and investors that you are
serious about the venture. Most will want to
see a business plan detailing startup costs and
profitability projections prior to providing
financial resources in order to ensure that your
business is worth their time and money.
A business plan should begin by
describing the company, its product/service,
objectives, and plans for achieving them.
It
is important to understand your market and
to figure out how to differentiate your
business from the competition. This all comes
from knowing your customer, as these are the
people who will not only purchase your
Business Development: Getting Started
K L Gillespie
product, but also help keep your business
afloat. Detailed market analysis will help you
determine who they are, what they need, and
how they wish to receive it.
Starting a business can be an extensive
process.
There is a lot involved and a lot to
consider. There are many websites and free
workshops which will assist you in getting
started. Community colleges also offer
applicable classes. The Small Business
Administration is also a great source for
business startups. They offer a wealth of
information on planning, starting, managing,
and financing your venture.
They also supply
a checklist which can be used along the way.
For more information and know how on
starting a business, visit www.sba.gov,
www.illinois.gov, or www.entrepreneur.com,
Katherine Gillespie is NLCN’s Financial
Columnist. She is a North Lawndale resident
and she has an MBA from the Illinois Institute
of Technology. To comment on this article
visit our weblog at: www.nlcn.org |
Thursday, March 11, 2010 
